Mumbai (Maharashtra) [India], January 7 (ANI): Indian stock markets opened with marginal gains on Tuesday after a steep fall on Monday, with both indices opening in green.
The Nifty 50 index opened at 23,679.90 points with a surge of 63.85 points or 0.27 per cent, while the BSE Sensex opened at 78,019.80 points with a gain of 54.81 points or 0.07 per cent.
Experts noted that the huge selling on Monday, driven by fears of HMPV cases in India, dented the entire market recovery. The outlook for the market remains under pressure, and for a recovery, strong fundamentals such as a rate cut and a good Budget are needed.
Ajay Bagga, Banking and Market Expert told ANI that “Our outlook on Indian markets is cloudy for now, as the fundamentals need to show signs of recovery. Markets will react in anticipation, so a good, market friendly budget and a RBI rate cut could help sentiment. Also, once the Trump 2.0 policy clarity is there by early February, we could see better sentiment as right now the worst is getting factored in”.
In the sectoral indices, all sectors gained during the opening session, but the gains were marginal compared to the fall seen yesterday. Nifty Consumer Durables and Nifty Oil and Gas led the gains with a surge of more than 0.5 per cent at the time of opening.
In the Nifty 50 shares list, 38 stocks opened in gains, while 5 stocks opened in red, and 8 remained unchanged.
“Yesterday drop has seriously weakened the entire recovery from the Dec 31st lows of 23460 so for the day, bulls have to protect 23500 if they are to have any chance of a rebound. Bears have the upper hand till 24060 remains intact, but more immediate resistance lies near 23800. On the other hand, a break below 23500 will again bring the focus back on the Nov lows near 23,260” said Akshay Chinchalkar, Head of Research, Axis Securities.
The top gainers in Nifty during the opening session included ONGC, ITC, HCL Tech, Titan, and Tata Consumers, while NTPC, Axis Bank, Cipla, Ultratech Cement, and Hindalco were the top losers in Nifty 50.
The markets witnessed huge selling pressure on Monday due to panic selling.
“Technical indicators offer a mixed outlook. The Relative Strength Index (RSI) stands at 40.7, signaling bearish momentum, while a bullish crossover in the Stochastic RSI hints at a short-term recovery. As such, the market remains directionally uncertain, and investors should monitor price action around key support and resistance zones for potential volatility” said Varun Aggarwal, MD Profit Idea.
In the other Asian markets on Tuesday, all indices gained except for Hong Kong’s and China’s markets. The Hang Seng index declined by more than 1.68 per cent. Japan’s Nikkei 225 index surged more than 2.38 per cent, making a rally, while Taiwan Weighted and South Korea’s KOSPI also gained marginally at the time of filing this report. (ANI)
